What is Modaraba?

Modaraba is a form of contract a subscriber (Rabb-ul-maal) participates with his money and the manager (Mudarib) with his efforts and skills, after setting aside the agreed share of Mudarib the profits earned on investments are distributed among the subscribers.

Where does the Modaraba Invest?

Modaraba can only invest in Halal businesses through various Islamic modes of financing approved by Sharia Board of Security and Exchange Commission of Pakistan.

How I can invest in Modaraba?

You can invest in Modaraba any time through our Certificate of Musharaka (COM). For details please read features and procedure section at our website: www.kasb.com or contact our branches.

What is Certificate of Musharaka Scheme?

The Modaraba has launched an investment scheme as Certificates of Musharaka (COM), which offers an avenue to depositors to seek a fair return on their investments, in accordance with the principles of Shariah.

What are salient features of Certificate of Musharaka (COM)?

- Governed by Islamic principles of Shariah.
  Relationship starts with an amount of Rs. 25,000 and thereafter, multiples of Rs. 5,000/- can be
  deposited. However, there is no upper limit of investment amount.
- Certificates are transferable through a simple process prescribed by SECP.
- Deposits are subject to withholding tax and zakat where applicable.

Is COM Scheme approved by Shariah Scholars?

All COM schemes are approved by the religious board of Securities Exchange Commission of Pakistan.

Can I withdraw my deposit before maturity?

Yes deposits can be withdrawn before maturity subject to certain conditions.

Is tax deductable on profit earned from Certificate of Musharaka scheme?

Yes, profit on the Certificate of Musharaka scheme is taxable under the Income Tax Law of Pakistan.

Who do I contact for Investment in Certificate of Musharaka

Please contact our following branches:

Head Office $ DHA Branch:
Address :80-C, 24th Commercial Area,
Off Kh-e-Ittehad, Phase-II Ext. DHA, Karachi.
PABX: 021-35313939-43, 021-35313932,
Fax: 021- 35313933.

Gulshan Branch: (University Road)
Friends Paradise, SB-36, Block-13-B,
University Road, Karachi.
Phone No.: 021-34822814-18, Fax:021-34822817.

Gulshan Branch: (13-D)
B-9, Block 1, Gulshan-e-Iqbal,
Opposite Shaheen Public School (13-D), Karachi.
Phone No.: 021-34983034-35, Fax: 021-34965081.

What are the products being offered by Modaraba?

KASB Modaraba is offering the following products:

- Ijarah (operating lease)
- Murabaha (Asset, Inventory purchase on deferred payment basis)
- Musharaka (Specific Business Finance)
- Modaraba (Financing businesses)
- Diminishing Musharaka (Asset purchase financing on hire-purchase basis)
- Certificate of Musharaka (Deposit Schemes)

Who is the governing body for Modaraba?

- Securities & Exchange Commission of Pakistan (SECP) is the governing body for Modarabas in Pakistan
  and following laws / regulations are applicable:

- The Modaraba Companies & Modaraba (Floatation & Control) Ordinance, 1980
- The Modaraba Companies & Modaraba Rules, 1981
- The Companies Ordinance, 1984
- The Religious Board
- Prudential Regulations for Modaraba